What is cross-docking?

• A. Products move directly from inbound to outbound trucks without long-term storage.
• B. Products are stored in large warehouses before distribution.
• C. Goods are inspected and repackaged at the dock.
• D. Stock is rotated between warehouses for balance.

Answer: (A)

Cross-docking is a logistics practice where incoming goods are moved directly from the receiving dock to the outbound dock with little or no storage in between. The idea is to transfer items quickly so they don’t sit in a warehouse, reducing handling and storage costs and cutting lead times. Sometimes items are sorted or combined during the dock transfer, but the key point is the flow-through from supplier to customer without long-term storage.

This differs from traditional warehousing, where products are stored for a period before being shipped to meet orders. While some minor dock activities like labeling or repackaging can occur, those aren’t what defines cross-docking. It also isn’t about rotating stock between warehouses to balance inventory; it’s about rapid transfer through a distribution center.